http://www.observer.com/pages/conason.aspBush’s ‘Reform’ Program Smells Like a Con Job
by Joe Conason
To anyone who has observed professionals working a con, the high-pressure sales pitch for Social Security privatization seems suspiciously familiar. Come to think of it, so does
George W. Bush’s back-slapping style, which is well suited to
promoting his vague, wildly expensive "reform" proposal to the nation’s teeming rubes.Like a grifter conjuring visions of wealth if only we trust him, Mr. Bush spouts promises that evaporate upon closer inspection. First he predicts that we will earn far higher future returns on our "personal" accounts, the name he prefers to "private" accounts, which doesn’t poll well. (He never mentions the substantial risks, or the management fees that would drain away income.) Then he promises that we will each control every dollar diverted from Social Security. (He actually knows that your investment choices would be strictly limited.) He says we will be able to leave the privatized accounts to our heirs. (He neglects to explain, of course, why his plan would make that virtually impossible.)
Meanwhile,
directing our attention away from all this fine print, he warns repeatedly that should we decline his amazing offer, all the taxes we’ve paid toward Social Security during our working lives will disappear when the system suddenly goes "bankrupt." (That alarming assertion contradicts his confident prediction of burgeoning equity growth, but he’s betting we won’t figure that out, either.)
So if we listen to him, we really have no choice. We must hurry—and not worry about borrowing another few trillion bucks to finance his scheme.
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